In 2008,the Treasury and Federal Reserve took several actions in response to the deepening financial crisis.One action was the Treasury's move to have the federal government take control of
A)the Federal Deposit Insurance Corporation (FDIC).
B)Fannie Mae and Freddie Mac.
C)JPMorgan Chase.
D)Lehman Brothers.

Question

Quizplus · Accepted Answer

In 2008, the Treasury took the action of having the federal government take control of Fannie Mae and Freddie Mac, which were two large government-sponsored enterprises in the housing industry that were facing financial troubles. The government takeover was seen as necessary to prevent their collapse and stabilize the housing market. The other options listed were not taken over by the government in response to the financial crisis.

In 2008,the Treasury and Federal Reserve Took Several Actions in Response